General Body is final authority in co-op society

There are number of people, organizations and members who read Section 30 of the Delhi Co-operative Societies Act, 2003 which is as follows:

30. Final authority in a co-operative society

(1) The final authority in a co-operative society shall vest in the general body of members.

This particular section of the law gives further powers to the general body of members to form small body with any suitable name and delegate certain powers to them. This small body will exercise only the delegated powers and shall be responsible for all the tasks to the general body of members.

rp_Floor-Area-ratio-increased-by-DDA2.jpg

ABSOLUTE POWER CORRUPTS ABSOLUTELY:

Everyone has heard a saying the absolute power corrupts absolutely. Does this mean that the general meeting may take decisions or actions which are a corrupt practice. We agree with this perception that the general meeting can take certainly take such a decision.

IS THERE A CHECK ON THE FINAL AUTHORITY OF GENERAL BODY OF MEMBERS ?

YES, Certainly, there is a check. It may be noted that the general body of members should not take any decision against the sense and spirit of the Delhi Co-operative Societies Act, 2003 and the Delhi co-operative societies Rules, 2007.

WHAT WILL HAPPEN IF THE GENERAL BODY OF MEMBERS TAKE DECISIONS AGAINST THE DCS ACT OR DCS RULES ?

park n societies

UNDER such circumstance, sensible members have to raise their voice and ensure that the general body of members functions according to the DCS Act and the DCS Rule.

When the members raise their voice, the general body of members may alter their decision in accordance with the DCS Act and the DCS Rules.

IN case the general body of members have done a wrong and no one raise their voice, the wrong will continue but it will remain illegal activity in the eyes of law.

Therefore general body of members is supreme authority to take legal decisions and not illegal decision.

In case you find any such decision, you may approach up for free advice on this web site.

IN CASE OF ANY QUERY OR ASSISTANCE REQUIRED, LEAVE A REPLY BELOW

8 Comments

  • m.k.ghosh says:

    A housing co-operative society in a SGM ‘general body’ resolved a issue for installation of loft in the society building with 3/4th majority, but BoD’s are delaying on the plea that there must be every members should given their consent for installation of lift. Besiieds, the Registrar was pleased to issue a direction directing BoD’s to settle the issue in conformity with 145(2) of the W.B.Housing Co-COperative Societies Rules,2011……..Awaiting for your suggession.

    View Comment
  • R.C. Bhardwaj says:

    Thanks dear for this information. Would appreciate if you could kindly enlighten further on the following issue: “If the Office Bearer(s) have been held guilty by auditor/SDM for violations U/S 118 (5/6) read with Sec 122 (1)(b) of the DCS Act, 2003, can General Body recommend to RCS to ignore these objections and forgive them? In other words, is General Body above law ?

    View Comment
  • m.k.ghosh says:

    Yes;…It is essential to have 3/4th majority of “General Body” in any General Meeting in favour of the project and then approval of the Registrar there after………………on the same. So, a notice should be issued to all the members for any meeting on the matter, if any. I think in conformity with the provision under the w.b.co-operative societies act, no need to issue circular among the members for filling objection before the Registrar.Only the proceeding of any particular meeting / approval have to be forwarded before the Registrar (having 3/4th majority of General Body) on any specific issue.

    View Comment
  • Rajneesh Shukla says:

    Dear Sir, In a minutes of meeting note from my General Body Meeting I read below comments: “Committee has to decide the fine amount for the absentee in the GB meeting in the next GB meeting.” is it correct or GBM has right to do so, it looks like an invalid rule.

    View Comment
  • Shabby says:

    My CHGS apartment management comittee is saying that there decision is final wether its mention in DCS Act 2003/2007 or not . Rules will be followed in society whatever decided by Management .According to me DCS Act is universal Act which is followed first and if there ny addtional points to be add, then Managing comittee can think over it. Do you also think the same ?Please share any section number which fails their term or how should i proceed. your suggestion would be highly appreaciated.

    View Comment
  • Shabby says:

    Thank you sir for sharing your advice. As of now , Case is with Consumer Court. Can you please help me with any such kind of examples if you have so that I can present in Court? If would be much appreciated. Your advice are always appreciated.

    View Comment
  • BITTU SHARMA says:

    SIR, I HAVE RENTED MY FLAT IN CHS IN MUMBAI. I HAVE BEEN PAYING ALL MY DUES ON TIME INCLUDING THE NON OCCUPATION CHARGES.

    NOW, I HAVE RECEIVED GENERAL BODY MEETING NOTICE IN WHICH THE COMMITTEE ON AGENDA NO 7 HAS SAID THE AGM TO CONSIDER

    RS 11000/- DONATION FROM THE OWNER WHO RENTS HIS FLAT. SIR AS ONLY 2-3 FLATS ARE ON RENT, I AM SURE THE AGM WILL PASS THE RESOLUTION.

    PLEASE ADVICE ME WHETHER THE SOC AFTER APPROVAL BY AGM CAN IMPOSE THIS RS 11000/- DONATION ON ME(WHETHER IT IS LEGAL)

    AND IF THEY DO SO WHETHER I CAN CHALLENGE THE SAME & WHERE TO CHALLENGE.

    View Comment
  • Shobhit says:

    Dear Sir, My CGHS Society in Sec 22, Dwarka has 85 flats. New MC was elected in Dec.’15, and conducted an Annual GBM on 28thAug.’16 (they circulated the Notice of AGBM on 14thAug.). Only 17 members (incld. 7 MC members) participated in this AGBM (out of 85). These members took few landmark decisions that are going against the wishes of majority of Society members, namely (A). Imposing an extraordinary “Monthly Water Charge of Rs. 1000” resulting in jacking-up of Society’s Quarterly Maint. amount by 50% (B). Imposing special levy of Rs. 2000 per flat against “Enhanced FAR Fund” for consulting an architect to add 1 additional room per flat (C). Water charges for DJB from May-Sep.’16 period of Rs.4347 per flat. These charges came to our Notice vide a “Demand Note” issued on 1-09-16 calling these charges as “Bill Due on 30thSep.’16”. This Note goes on to state (I). “This is Special Demand as per AGM held on 28-08..Penal interest on delayed payment @3% will be charged after due date i.e 30-09”,(II). “This is a Computerized Bill, hence no signature is required”.

    Can you please advise wrt the exact illegalities being committed in the aforesaid scenario w.r.t. DCS Act 2003 & DCS Rules 2007? I’d be highly grateful to you Sir. Thanks, in advance.

    View Comment

Leave a Reply

Your email address will not be published. Required fields are marked *